Kraft Heinz Co (NASDAQ:KHC, XETRA:KHNZ) has announced the appointment of Steve Cahillane as CEO as the packaged foods giant prepares to split into two companies.
Cahillane will also join the company’s board and serve as CEO of Global Taste Elevation, one of the two new companies resulting from Kraft Heinz’s planned separation into independent, publicly traded entities.
Carlos Abrams-Rivera, who has served as CEO since early 2024 following a planned succession from Miguel Patricio, will step down and act as an advisor through March 2026.
The board also plans to launch a global search for a CEO to lead North American Grocery, the second company arising from the separation.
According to the company, Cahillane brings extensive industry experience to Kraft Heinz, having most recently served as chairman, president, and CEO of Kellanova until its acquisition by Mars Incorporated. His previous roles include leadership positions at The Nature’s Bounty, The Coca-Cola Company, and AB InBev.
“I am honored to be joining Kraft Heinz as CEO at such a pivotal and exciting time,” Cahillane said in a statement. “Like millions of people around the world, I have a deeply personal connection to the Kraft Heinz brands. I’m confident the planned separation will accelerate the company’s ability to compete and unlock the immense opportunity in front of us.”
Analysts at Jefferies described the leadership change as likely positive for investors, particularly for Global Taste Elevation, which Cahillane will lead.
“We believe this leadership change will likely be viewed positively by investors, given what it means for Global Taste and what it could mean for adjustments to strategy/demand driving initiatives,” they wrote in a note. “That said, we still have concerns about the backdrop for Food, as mentioned above, that we think continues to weigh on the stock.”
According to the analysts, Cahillane’s recent experience leading legacy Kellogg’s through a business split and then leading multi-national Kellanova to an acquisition by Mars “renews investor expectations for Global Taste Elevation to become a potential M&A focused organization.”
Jefferies also highlighted the broader challenges facing Kraft Heinz, including “weak US consumer sentiment, pressured volumes, incremental brand reinvestment needs, and heightened innovation/portfolio realignment requirements.”
The analysts added that upcoming factors such as a GLP-1 pill launching in the first half of 2026 and potential changes to SNAP eligibility could have material impacts.
Shares of Kraft Heinz traded up 0.7% at about $24.70 late morning on Tuesday, but have retreated almost 20% this year.